Knowledge management (MR, unit 1)

Knowledge – information in people’s minds which may not be formally recorded
Knowledge-based economy – based on application of knowledge
Knowledge management – indentify & analyse knowledge. Plan & control actions to develop knowledge assets in order to fulfil org’s objectives. Knowledge assets – sum of the knowledge a business owns re markets, products, technologies, resources, skills & systems

• Organisation’s ability to use knowledge is now more important than land or capital
• Must be applied in order to have value
• Required to produce unique products at lower cost than competitors
• Can create new ideas, insights and interpretations for decision making

Knowledge management programme – Processes to create, protect and use explicit knowledge (an org knows it has). Processes to discover and release tacit knowledge (not formally documented, invisible & intangible, low motivation to share hard-won experience)

Example: Half of Google’s new product launches— including Google News and Google Suggest— stem from Google’s 20 percent time policy, which allows engineers to spend one day a week on pet projects and personal pursuits.

Where does knowledge reside?

• Create communities & informal networks (share common interest, cut across units). Results in exchange if info and a shared language that enables smooth flow of information.
• Look at knowledge-related business outcomes e.g. product development (tangible outcome from invisible knowledge)

Important to motivate employees to share this. Emphasise in corporate culture, evaluations & rewards.